Correlation Between CareRay Digital and CNOOC
Specify exactly 2 symbols:
By analyzing existing cross correlation between CareRay Digital Medical and CNOOC Limited, you can compare the effects of market volatilities on CareRay Digital and CNOOC and check how they will diversify away market risk if combined in the same portfolio for a given time horizon. You can also utilize pair trading strategies of matching a long position in CareRay Digital with a short position of CNOOC. Check out your portfolio center. Please also check ongoing floating volatility patterns of CareRay Digital and CNOOC.
Diversification Opportunities for CareRay Digital and CNOOC
-0.7 | Correlation Coefficient |
Excellent diversification
The 3 months correlation between CareRay and CNOOC is -0.7. Overlapping area represents the amount of risk that can be diversified away by holding CareRay Digital Medical and CNOOC Limited in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on CNOOC Limited and CareRay Digital is a relative statistical measure of the degree to which these equity instruments tend to move together. The correlation coefficient measures the extent to which returns on CareRay Digital Medical are associated (or correlated) with CNOOC. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of CNOOC Limited has no effect on the direction of CareRay Digital i.e., CareRay Digital and CNOOC go up and down completely randomly.
Pair Corralation between CareRay Digital and CNOOC
Assuming the 90 days trading horizon CareRay Digital Medical is expected to under-perform the CNOOC. In addition to that, CareRay Digital is 1.88 times more volatile than CNOOC Limited. It trades about -0.09 of its total potential returns per unit of risk. CNOOC Limited is currently generating about 0.18 per unit of volatility. If you would invest 2,645 in CNOOC Limited on October 22, 2024 and sell it today you would earn a total of 267.00 from holding CNOOC Limited or generate 10.09% return on investment over 90 days.
Time Period | 3 Months [change] |
Direction | Moves Against |
Strength | Weak |
Accuracy | 100.0% |
Values | Daily Returns |
CareRay Digital Medical vs. CNOOC Limited
Performance |
Timeline |
CareRay Digital Medical |
CNOOC Limited |
CareRay Digital and CNOOC Volatility Contrast
Predicted Return Density |
Returns |
Pair Trading with CareRay Digital and CNOOC
The main advantage of trading using opposite CareRay Digital and CNOOC positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if CareRay Digital position performs unexpectedly, CNOOC can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in CNOOC will offset losses from the drop in CNOOC's long position.CareRay Digital vs. Guangzhou Restaurants Group | CareRay Digital vs. Sanxiang Advanced Materials | CareRay Digital vs. Konfoong Materials International | CareRay Digital vs. Guangzhou Tinci Materials |
CNOOC vs. Beijing Mainstreets Investment | CNOOC vs. Shanghai Ziyan Foods | CNOOC vs. HaiXin Foods Co | CNOOC vs. Eastroc Beverage Group |
Check out your portfolio center.Note that this page's information should be used as a complementary analysis to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try the Options Analysis module to analyze and evaluate options and option chains as a potential hedge for your portfolios.
Other Complementary Tools
Portfolio Analyzer Portfolio analysis module that provides access to portfolio diagnostics and optimization engine | |
Alpha Finder Use alpha and beta coefficients to find investment opportunities after accounting for the risk | |
Funds Screener Find actively-traded funds from around the world traded on over 30 global exchanges | |
Equity Analysis Research over 250,000 global equities including funds, stocks and ETFs to find investment opportunities | |
Positions Ratings Determine portfolio positions ratings based on digital equity recommendations. Macroaxis instant position ratings are based on combination of fundamental analysis and risk-adjusted market performance |